Junnikkala is preparing for a big investment that will launch the construction of a modern sawmill unit in Oulu, Finland. Construction will begin in 2022 and will be finished by the end of 2023. Euro 70 million investment will be the biggest investment in Junnikkalas’ history. Currently Junnikkala has two sawmills in Northern Finland in Kalajoki and Oulainen.
The investment will utilise state of the art sawmill technology and Nordic innovation, setting the foundation for future investments for Junnikkala. The increasing demand for high-quality and sustainable timber products in the construction industry on a global scale combined with the positive development of the sawmill industry, provides the opportunity for the investment.
The modern sawmill can process the timber in all sizes and the enclosed sawing process minimizes the internal traffic at the factory. The location of the sawmill creates great logistic synergies in receiving the material, delivering the by-products for energy production and the transportation of the timber products. This cuts the emissions and brings renewable, more sustainable options for a circular economy.
With the investment, Junnikkala production increases up to 650,000 m3 which means procuring 1.4 million m3 of wood per year and makes the company one of the largest among the sawmill industry in Finland. The annual turnover is estimated to be about Euro 250 million. Up to 90% of the production of the new Oulu sawmill will be exported from the Port of Oulu to 50 different countries all over the world.
The production capacity of the new sawmill will be 300,000 m3 per year. The new sawmill will process 700,000 m3 of wood, 80% of which is redwood and the rest being whitewood.
